VIX and the 10Y have both reached key chart pattern support.It’s a little early for a sprint to the barn.  Will the algos take a breather?

continued for members…

ES and SPX have different apparent targets. While ES is already bumping up against channel midlines… …SPX seems like it’d be happier tagging 4400. But, a great deal will depend on whether VIX breaks down. I can easily envision an intraday dip below 14.5 just to shake out the weak equity bears.Seeing a potential backtest for EURUSD, though this red channel isn’t that convincing just yet…

USDJPY keeps inching higher – no surprise. CL and RB are still drifting lower, though we should acknowledge that RB is approaching a .886 Fib retracement and could see a bounce.  Both are obviously still vulnerable to big swings depending on how things go in Gaza. As mentioned up top, the 10Y is very close to a breakdown, while the 2Y is executing more of a rollover.  So far, though, the 2s10s is not in immediate danger of going positive. That would likely require an equity selloff to force the 2Y lower while inflation concerns prevent the 10Y from breaking down.

An escalation in the Middle East certainly has the potential to do just that…

GLTA